Govt Grants Extension in Exemption of Taxes to Erstwhile Tribal Areas

The government has granted a one-year extension in exemption from duties and taxes for the erstwhile tribal areas up to June 30, 2024, under Finance Act 2023. A senior FBR official clarified that the exemption has not been withdrawn through any amendment in Finance Bill 2023. This exemption was valid up to June 30, 2023. A one-year extension was proposed under the Finance Bill 2023. The extension proposed has been confirmed under the Finance Act 2023. Therefore, now the exemption would remain intact till June 30, 2024. The confusion arose when a leading tax expert interpreted Finance Act 2023 that the said exemption has been withdrawn. However, a senior FBR official explained that the exemption has been extended up to June 30, 2024 under the Finance Act 2023.